Explanation:
Classification
According to the Microsoft Azure AI Fundamentals (AI-900) official study guide and the Microsoft Learn module "Describe features of common AI workloads", classification is a supervised machine learning technique used when the goal is to predict which category or class an item belongs to. In supervised learning, the model is trained with labeled data-data that already contains known outcomes. The system learns patterns and relationships between input features and their corresponding labels so it can predict future classifications accurately.
In the scenario provided - "A banking system that predicts whether a loan will be repaid" - the model's output is a binary decision, meaning there are two possible outcomes:
* The loan will be repaid (positive class)
* The loan will not be repaid (negative class)
This kind of problem involves predicting a discrete value (a label or category), not a continuous numeric output. Therefore, it perfectly fits the classification type of machine learning.
The AI-900 learning materials describe classification as being used in many real-world examples, including:
* Determining whether an email is spam or not spam.
* Predicting whether a customer will churn (leave) or stay.
* Detecting fraudulent transactions.
* Assessing medical test results as positive or negative.
By contrast:
* Regression predicts continuous numeric values, such as predicting house prices, temperatures, or sales revenue. It would not apply here because repayment prediction is not a numeric value but a categorical decision.
* Clustering is an unsupervised learning method that groups similar data points without predefined categories, such as segmenting customers by purchasing behavior.
Thus, based on Microsoft's Responsible AI and AI-900 study guide concepts, a banking system that predicts whether a loan will be repaid uses the Classification type of machine learning.

Explanation:

Let's analyze each application in the context of Microsoft Azure AI Fundamentals (AI-900) and computer vision model types.
* App1 - Uses a set of images of tumors to identify whether the tumors are benign or malignant and suggest a treatment # Image classificationThis application is performing image classification, where each image (of a tumor) is assigned to a single predefined category - benign or malignant. Image classification models learn patterns from labeled training images and predict the correct class for new ones. In this case, the model identifies the type of tumor, a classic binary classification scenario.
* App2 - Uses images from cameras to track individual livestock as they move around a farm # Object detectionThis scenario describes object detection, which not only identifies what objects (in this case, animals) are in an image but also locates them by drawing bounding boxes. Tracking movement requires detecting the position of each animal frame by frame. Object detection models are well-suited for use cases involving counting, tracking, or monitoring objects in a visual scene.
* App3 - Identifies brands in photographs of billboards # Optical character recognition (OCR)This app involves reading and interpreting text (brand names, slogans, or logos) from images of billboards.
Optical Character Recognition (OCR), part of Azure AI Vision, extracts textual information from images or scanned documents. Once extracted, that text can be analyzed to identify brand names or keywords.
Summary:
* App1 # Image classification
* App2 # Object detection
* App3 # Optical character recognition (OCR)

Explanation:

The correct answer is "adding and connecting modules on a visual canvas." According to the Microsoft Azure AI Fundamentals (AI-900) Official Study Guide and the Microsoft Learn module "Explore automated machine learning in Azure Machine Learning," the Azure Machine Learning designer is a drag-and-drop, no-code environment that allows users to create, train, and deploy machine learning models visually. It is specifically designed for users who prefer an intuitive graphical interface rather than writing extensive code.
Microsoft Learn defines Azure Machine Learning designer as a tool that allows you to "build, test, and deploy machine learning models by dragging and connecting pre-built modules on a visual canvas." These modules can represent data inputs, transformations, training algorithms, and evaluation processes. By linking them together, users can create an end-to-end machine learning pipeline.
The designer simplifies the machine learning workflow by allowing data scientists, analysts, and even non- developers to:
* Import and prepare datasets visually.
* Choose and connect algorithm modules (e.g., classification, regression, clustering).
* Train and evaluate models interactively.
* Publish inference pipelines as web services for prediction.
Let's analyze the other options:
* Automatically performing common data preparation tasks - This describes Automated ML (AutoML), not the Designer.
* Automatically selecting an algorithm to build the most accurate model - Also a characteristic of AutoML, where the system tests multiple algorithms automatically.
* Using a code-first notebook experience - This describes the Azure Machine Learning notebooks environment, which uses Python and SDKs, not the Designer interface.
Therefore, based on the official AI-900 learning objectives and Microsoft Learn documentation, the Azure Machine Learning designer allows you to create models by adding and connecting modules on a visual canvas, providing a no-code, interactive experience ideal for users building custom machine learning workflows visually.

The correct answer is B. Optical character recognition (OCR).
OCR is a key capability within the Computer Vision and Document Intelligence services in Azure AI that enables systems to detect and extract printed or handwritten text from images and scanned documents.
When capturing text from images, OCR technology analyzes visual patterns (shapes of letters and numbers) and converts them into machine-readable text. For example, a photo of a receipt, street sign, or printed report can be processed to extract textual content programmatically.
* A (Text analysis): Applies to NLP tasks such as sentiment detection or key phrase extraction, not image processing.
* C (Image description): Generates captions describing the scene or objects in an image.
* D (Object detection): Identifies and locates objects but does not extract text.

to 300 words in Explanation:
The Custom Vision service under Azure Cognitive Services is specifically designed for image classification and object detection tasks that require a custom-trained model. According to the AI-900 official study materials, Custom Vision enables developers to "build, deploy, and improve image classifiers that recognize specific objects in images based on custom data." In this question, the goal is to build a system that processes images from retail stores and identifies products of competitors. Since these are unique products that may not be part of Microsoft's pre-trained models, a custom model must be created. The Custom Vision service allows you to upload your own labeled images (e.
g., product pictures), train a model to recognize those products, and then deploy it as an API for image recognition tasks.
Other options explained:
* B. Form Recognizer is used to extract text, key-value pairs, and tables from structured or semi- structured documents like invoices or receipts. It is not suitable for object identification.
* C. Face service detects and analyzes human faces, providing attributes like age, emotion, and facial landmarks, but cannot recognize general objects like products.
* D. Computer Vision is a general-purpose image analysis service used for tagging, OCR, and scene recognition, but it uses pre-trained models. It doesn't allow for custom product identification.
Thus, based on Microsoft's guidance, the best fit for recognizing competitor products from images using a custom-trained model is A. Custom Vision.